KT at risk of losing funds if fast ferry isn’t hybrid or diesel

Published 1:30 am Monday, April 13, 2026

The Kitsap Transit Board of Commissioners learned about possible changes to federal funding previously approved for an electric foot-ferry connecting Port Orchard and Bremerton, as part of its April 7 regular business meeting.

Kitsap Transit executive director John Clauson said the agency was notified by the Federal Transit Administration that if they don’t change the propulsion system for the proposed ferry from all-electric to hybrid or diesel, FTA may withdraw previously awarded funding totaling roughly $7.7 million.

“If changes aren’t made, it is likely that they would be cancelled. I want to make it clear: KT can proceed with an all-electric vessel, but the uncertainty of retaining the funding is greater due to the administration’s priorities. All fully electric projects across the country are being encouraged to change to either hybrid or diesel to help protect the already awarded funds. This decision is not being required by the FTA; however, it is highly encouraged,” KT service and capital development director Steffani Lillie said.

The board approved a motion 7-2 to support moving from an all-electric boat for the Port Orchard/Bremerton route to a hybrid electric boat. BI Mayor Clarence Moriwaki and County Commissioner Christine Rolfes voted against the motion.

Lillie said the timeline for a hybrid vessel will be faster than an all-electric vessel, adding, “The all-electric is dependent on completion of the shore-side charging infrastructure, which is complex and requires significant lead time for delivery of the electrical components. We anticipate if all goes to plan, KT should have a new vessel mid-2028, with the all-electric, the timeline is closer to the first quarter of 2029,” she said.

The new vessel is intended to replace the Admiral Pete. KT was previously awarded a $7.7 million federal grant in 2021 for vessel construction. In 2022, the agency was awarded $6.8 million in state funding for planning and partial construction, KT marketing and public information director Sanjay Bhatt said.

Lilli said the agency hasn’t received any additional communications from the FTA regarding approval of the changes as of April 10.

Bhatt confirmed the vessel is in the design phase.

“The design started with the hybrid-electric MV Waterman as a baseline, followed by minor hull modifications to assist with wake challenges and the propulsion system/battery enclosures. We will need to make slight changes now, but because the original base vessel was a hybrid electric, it is not a big lift to switch the design from all-electric to hybrid. However, the manufacturer (BAE) that installed the Waterman’s hybrid-electric system no longer makes that system for marine vessels,” Bhatt said. “This will require some re-design since we will no longer require as much battery storage and will need to accommodate the differential in weight between diesel storage, the heavier battery storage and the new propulsion system components. The switch to hybrid will get Kitsap Transit a boat faster than the electric design because the shore-side infrastructure for the electrified vessel is complex to implement and requires significant civil and utility work.”